Texas Energy Infrastructure Largely Unscathed by Beryl

Crude prices remain flat on Tuesday as the Gulf largely evades the impact of Hurricane Beryl as it made landfall with Texas on Monday.

• Brent SEP 24 up 0.1% at 85.8$/bbl
• WTI AUG 24 up 0% at 82.36$/bbl
• Gasoil JUL 24 down -0.3% at 786.75$/mt
• WTI-Brent down -0.03$/bbl at -4.24$/bbl
• Some areas of energy infrastructure took preventive measures ahead of Beryl’s arrival while unplanned shutdowns were fairly limited.
• Shipping channels and refining infrastructure closed for Beryl have either reopened or are expected to shortly.
• Brent SEP 24-OCT 24 unchanged at 0.76$/bbl
• Brent OCT 24-NOV 24 unchanged at 0.69$/bbl
• Looking ahead, the market is waiting for the release of key U.S. inflation data, with Federal Reserve Chair Powell set to appear before Congress on Tuesday and Wednesday. The events may provide some direction on U.S. monetary policy and the chances of a September rate cut – a move supportive of oil.
• U.S. officials were in Cairo on Monday to try and negotiate Middle East peace talks but the gap between Israel and Hamas remains too wide at present.
• The gap between Brent’s two nearest contracts remains in a bullish, backwardated structure but the levels have come off from last week.
• Money managers increased bearish bets against US gasoline to the highest in seven years, as inventories swell. GasBuddy data out yesterday highlighted that gasoline demand for July 4 celebrations may have been limited.
• The market is looking for signs of gasoline demand in the northern hemisphere while travel demand is at a seasonal high. Record TSA passenger check numbers this week in the U.S. highlighted further air travel demand.
• US 321 crack up 0.3$/bbl at 25.06$/bbl